In terms of patterns, Bitcoin has broken down, and the lower edge of the high-level fluctuation zone has been breached. Market panic has reached its peak, the fear and greed index is at 10, indicating extreme panic. This represents that any slight movement in the market will cause some holders to panic and exit the market, and most investors are entering a cautious bottom-fishing mood.

In terms of trends, observe the amplitude of the rebound and the volume, as well as whether it can recover within the high-level fluctuation zone. This will determine whether the upward trend of this bull market can continue.

This situation is both dangerous and an opportunity.

But I still feel it's about luck. After all, no analysis can predict what kind of trouble Trump will cause next.

Trump's actions, to be honest, I am somewhat looking forward to it... Why?

This will accelerate the timeline for a recession... Aren't we looking for recession, crisis, balance sheet expansion, and recovery? No pain, no gain. Although it will be painful in the short term, it will lead to a big bull market. What great expectations.

It's better than the previous situation of boiling frogs in warm water, isn't it?

No matter how the rebound goes, whether good or bad, protect your principal. The big drops are still to come. Because a recession would mean another golden pit similar to March 12, 2020, accompanied by an expansion of the balance sheet and recovery.

Moreover, the altcoins are a bit tough now; instead of falling, it makes me a bit scared. I don't know if it's a scam or if they are really strong, and I don't dare to bottom-fish.

The reason for Bitcoin's decline is clear; it is due to part of the market's reduced expectations for future liquidity (increased taxes).

Moreover, the liquidity of Bitcoin is different from that of altcoins, so we can see the current situation.

Need to pay attention to the core PCE data to be released this Friday.

If this data can show a slight retreat, it will give the market a bit of relief, and market sentiment will improve a little.

But if the data is not ideal, the US stock market and cryptocurrency market may further decline.

If you think the bull market is still on and want to bottom-fish, I suggest you can wait for a swing or hold off for a bit longer.

Currently, the market has not stabilized and may decline further. It's necessary to keep some bullets to deal with extreme conditions.

As for the bull market.

I still believe it is ongoing; don’t panic and cut losses in a decline, and don’t fantasize about a reversal during a rebound.

After this adjustment, a violent bull market will welcome us, so please look forward to it. A decline is also a good thing, with plenty of low chips available; whether you dare to pick them up is a matter of your mindset.

Gradual bottom-fishing and building positions is the best trading strategy. Treat this as a bear market; regular investment is a good method.

If you have no bullets left and are fully stuck, you must reflect on your trading decisions.

Doing things neither relies on theoretical support nor on experiential guidance, but solely on imagination, or on a burst of enthusiasm, or on inner impulses and emotions, operating based on feelings, following instincts, thinking of something and acting on it, becoming a puppet of price fluctuations, completely losing one's mindset in the storm of the market. Chasing highs when prices rise and getting stuck, cutting losses when prices fall, buying high and selling low, leading to continuous losses. This is falling into blind activism.